With strong signs that the IT industry will continue to grow across a range of industries. IT is quickly becoming a very important component which ensures businesses can run effectively and efficiently. One key growth area is the financial industry where IT opportunities will increase.
Information technology has many uses in finance. Companies nowadays use I.T in many different ways from financial trading to reporting the earnings of a business. A companyin the financial services industry in ireland uses its Information System on a daily basis. Information technology allows such companies in this industry to quickly calculate” financial statistics”, as well as for the use in electronic transfers of money, but in Ireland at present the major key area within the finanial sector is funds, A good IT system in funds is of major benefit to companies and allows them compete for new business . http://www.ehow.com/about_6397556_importance-information-technology-finance.html
Companies typically prefer to do business with banks or financial institutions that offer many different services that they can access through some kind of technology based device . The ability by a customer to access their information quickly and securely through there information system allows many banks to increase their customer base and thus showing the high importance of the I.T in Finance.
Below are some of the 2 reasons why IT Is So important in Finance :
Function
Customers can easily transfer and complete online transaction . Instead of people using checks which are quickly becoming outdated for example,a company with a good information technology can clear a transaction at a click of a button. A debit or credit card purchase can be very quickly compared with the customers account balance, this either then allows the transaction or not. (http://www.ehow.com/about_6397556_importance-information-technology-finance.html). But alot of big Finance companies that are in funds area develop there Information systems for use in producing NAVs as quick and accurate as they can, good I.T systems within a company of this nature provides the company the most upto date information on market prices on stocks and also the system itself must be user friendly and accurate.
Convenience
A Person lookin after the own finance can recieve great value from information technology in finance and with the development of IT this has made personal finace so much easier and quicker . Banks provide data on current and savings accounts on line as well as withdrawals . A customer can download all there account transactions and if the need arises can store them in records on a home computer, companies can also nowadays do the same and nearly always have there own accounting system built into the Information system network to make things even easier for them and it also make things more accurate. (http://www.ehow.com/about_6397556_importance-information-technology-finance.html)
Social Media
The Finance Industry can use Information Technology to create benefits from the likes of the social media, i discussed social media and IT importance in one of my earlier blogs, Social Media sites on the Internet provides financial institutions with useful information on their customers. By trying to get online communities associated with their products, companies in the financial industries not only recieve information but it can also encourage ” brand loyalty”, it also allows finance companies to contact the” younger demographics” that will be their future customers according to this site i found during my research: http://smallbusiness.chron.com/importance-information-technology-finance-17292.html
I cannot agree more! Supa!